OakNorth – the bank for entrepreneurs, by entrepreneurs – has provided a £16.5m property development finance facility to Mayfair based, private investment office WMG, which has been investing in and managing UK residential and commercial property assets since 2009.
The finance will be used to develop a new residential-led mixed-use 17-storey building at the corner of White Church Lane and Commercial Road in Aldgate, comprising commercial units on the ground floor and 39 residential units on the upper levels. The site, situated within the City of London fringe will also offer 10 affordable units, including one, two and three-bedroom flats. Subject to planning approval, the creation of three additional one-bedroom apartments will be developed on the first floor. Tenants will be offered a concierge service, as well as access to one of the nearby gyms.
Michael Cooke, Director at WMG, said: “With its excellent transport links and proximity to the City, Aldgate has become a highly popular area for professionals and young families as well as overseas investors. The team at OakNorth worked tirelessly to get the deal done and we thoroughly enjoyed working with them including (rather uniquely) the opportunity to discuss the scheme directly with their Credit Committee. The speed at which a decision was made was impressive and the whole process from first conversation to money in the bank was refreshingly simple, commercial and highly efficient.”
Priya Harley, Director Debt Finance at OakNorth, said: “. WMG’s strategy of buying short income and leases and creating value uplift through a combination of lease re-gearing, asset management and change of use, has seen it successfully complete numerous projects over the last 20 years. Between them, Michael Cooke and Mehmet Dalman have considerable experience in funding and investing into the UK and European real estate markets, so we’re delighted to support this highly experienced team as they build on their existing portfolio.”
CBG were the chosen developer.